Buusiness Ethics and Fraud Prevention Speaker Chuck Gallagher addresses FBI Conference

July 11, 2011

CHOICES: Negative Consequences – Positive Results

Chuck Gallagher Shares the Impact of Choices

at a Time when Ethical Choices seem to be missing from Business Culture

 CHARLOTTE, NC.  July 7, 2011.  From Prison to Promise, Chuck Gallagher’s presentation:  CHOICES: Negative Consequences – Positive Results –  exposes the power of choice and the negative consequences or positive results that can follow.   Selected to present to the 2011 FBI CPA Conference in Denver, Colorado, this annual FBI conference generally focuses on economic and other white-collar crimes.  Recognizing the importance of ethics and their practical application, Gallagher, as a speaker, is a natural fit for this national conference as he shares from experience how a life can change and the course of history can be altered by one unethical choice. In today’s environment, with so many lives turned “topsy turvy,” CHOICES  – provides a meaningful and practical framework for understanding how an otherwise ethical person can make unethical and potentially illegal choices.  CHOICES –  exposes the impact of unethical choices and the power that ethical choices can have.  As a business ethics and fraud prevention speaker, Gallagher’s presentations provides a foundation for business ethics training that goes beyond case studies and focuses on real life issues.

Chuck Gallagher, author of the new book Second Chances, has lived through it and he has come out a better man, husband, and father.  As a nationally recognized CPA, Gallagher lost it all when he made unethical choices by creating a Ponzi scheme and defrauding his clients and it all began with one bad decision.  He chronicles his fall from a wonderful life of success into the inside of a prison cell and how he managed to take the steps to rebuild his life to one full of meaning, purpose, and promise.

Shortly before his sixth month in prison, Gallagher asked himself, “Where from here?” This ultimately becomes his personal call to action upon which this book is premised. Gallagher states, “You may make a mistake, but YOU ARE NOT A MISTAKE.” So what’s next? What do you do next? How will you put one foot in front of the other to manifest the power over the choices you make now and in the future?

Gallagher’s presentations offer nuts and bolts information relevant to anyone from Main St. to Wall St. It packs hard-hitting, no-nonsense tools that the audience member can actually manifest into the power of ‘choice intelligence’. Through his transparent heart felt presentations, Gallagher says to the his audience, “Take what I’ve learned and apply it in your life and you will transform your destiny.  Explore every God-given opportunity and, in the process, you’ll develop a higher level of consciousness through better choices and a higher purpose. Honor your life, make wise choices, you will make a difference in your own life, the lives of others, and in society.”

Today, Gallagher is COO of a national company and speaks internationally on business ethics – choices and consequences. Chuck openly and candidly shares the lessons his roller coaster ride in life has taught him.  Described as “creative..,” “insightful…,” “captivating…,” and a person that “connects the dots” between behavior, choices, and success, Chuck Gallagher provides his clients, readers, and audiences with what they need to turn concepts into actions and actions into results

Chuck’s presentations drive home the very real issues involved in businesses today.  One unethical errant choice and the media fallout can have an immediate impact on business results.  For information about Gallagher’s ethics presentation contact Chuck at chuck@chuckgallagher.com ,call him at 828.244.1400 or visit his website:  http://chuckgallagher.com.

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Christmas in Prison – Inmates remembered or forgotten? Second Chances book Excerpt by Chuck Gallagher

December 15, 2010

Today I shipped a copy of my new book SECOND CHANCES to an inmate in prison.  Seems that someone cared enough about this man to want to send him a Christmas present – the gift of potential – the gift of how to turn Adversity into Opportunity – the gift of how to change your life.

As I packaged the book for shipment, it caused me to reflect on my first (and thank God only) Christmas in prison.  It’s been 15 years now and yet I can vividly remember that time and the strong emotions I was feeling as Christmas approached.  All to often we can get caught up in the wrongs that folks have done (and, yes I was a wrong-doer) and we lose track of the tragedy that all face when dealing with the consequences of the choices we make.  Here in 2010 Bernie Madoff’s son Mark is just another example of the pain and brokenness that all who are associated with bad choices experience.

For those who cling to self-righteous judgment, allow me this moment to share my experience – to give my readers a brief glimpse or view into the inside of prison at Christmas…

SECOND CHANCES book excerpt:

On Christmas morning, my first and, as I thought, hopefully my last in prison, I lay in my bed feeling an aching in my chest. The pain was not from a physical ailment. Rather, the pain was an emotional ache that hurt to the very core of my soul, perhaps more deeply than any physical pain I ever experienced before. Although Christmas was my favorite time of year, this year it was the most painful time, and I was not alone in those thoughts. By this time, Buck and I had developed a close bond. Even he found Christmas morning difficult, and he had seen six of them come and go before I got there. I couldn’t imagine what that was like.

Five hundred men in this prison facility and on Christmas day, most of them would shed a tear. Being in prison doesn’t make anyone immune from pain and loss. On days like today, it magnifies the pain and loss. Just like them, as I lay motionless in my top bunk bed, I found myself thinking with tears streaming down my face. I cannot, to this day, say why the thought came to mind, but it made a powerful impression. It seemed that this “learning laboratory” had the tendency to teach at a rapid rate. At least, it did for me.

I recalled one evening, sometime back in the mid-eighties, standing in the checkout line at the grocery store I frequented in my former hometown. At that time, I was in my mid to late twenties and had a budding career. Now, I must admit, I thought that was an odd thing to recall on Christmas morning in prison, but this is what came to mind.  Looking back, there was clearly a reason.  The memory was crystal clear. I had walked into the store quickly to buy some steak and shrimp, having told my wife I would pick up some on my way home. We were to grill out that night, and I knew it would save her a trip. Little did I know that something so simple would provide such a profound lesson. Frankly, I had forgotten the experience until that day─Christmas morning in 1995.  As I entered the checkout line, the clerk, a female around my age, spoke to me.

“Chuck Gallagher. You’re Chuck Gallagher.”

“Yes.” Somewhat startled, I responded tentatively, realizing I had no idea who this person was and how she knew me. Here I was, standing in my suit, having just finished a workday at the office, and now I was being identified by a stranger at the grocery store.

“I’m Suzie,” she said, as if I should know her. I did catch her name as it was on the badge she wore on her grocery store smock. Even though she knew me, for the life of me, I had no clue who she was. Not only did I not know her name, but her face was also unfamiliar. While I tried not to show my unfamiliarity, my face must have given it away.

“We went to high school together,” she exclaimed, as if that should somehow jog my memory. “I read about you often in the paper. You seem to be doing so well.” Noticing my wedding ring, she then asked, “Do you have any children?”

“Yes, one,” I replied, smiling at her as I acknowledged her obvious warmth. I was just trying to be nice and carry on conversation, even though inside I just wanted to check out and move on. Then I asked what, in retrospect, was a dangerous question, “Do you?”

Little did I know that those simple two words would change the course of this unexpected visit.  With my question she responded, “Yes, three.” And with that, she stopped the process, even though we were in the express lane. She reached under the counter, removed her pocketbook, and proceeded to take out her wallet, wherein she had two pictures each for three children─and that was just the beginning.

Standing there, I could tell that the people in line were perturbed at her for the lengthy explanation and at me for even asking. Frankly, I wasn’t excited either. I didn’t remember her and I was just being nice. In reality, I just wanted to get out the door and get home. As she began to wind down, I knew not to ask any further questions.

“It’s so good to see you,” she said as she handed me the receipt for my purchases. “Maybe we’ll see each other again sometime.” I smiled and quickly walked away.

As I walked to the Mercedes I was then driving, I gloried in self-righteous thoughts. How important I was. She had read about me in the paper. I was ‘somebody.’ All of this time away from high school and the highest rung of the ladder she had aspired to was a check-out chick at the local grocery store. That thought was judgmental, ugly, and turned out to be profound.

Yet, on that Christmas day, 1995, as I lay on my top bunk, my thoughts drifted back to that incident. I couldn’t even remember her name, yet, in my mind’s eye, I vividly saw her with her family on this Christmas day.  No doubt she and her husband shared joy as their children squealed with delight over the meager gifts Santa left. Most of the time you can’t get kids out of bed, but on Christmas morning they won’t stay in bed. The joy and love you feel as a parent, seeing those tiny little eyes light up as they experience Christmas, is hard to describe. That feeling is one I ached to have there in prison on Christmas morning.  I imagined seeing her as she prepared their Christmas meal.  As their energy began to wane, she would hold her children in her arms and tell them that she loved them. As I lay there, I imagined her gently stroking their heads as they struggled to keep their eyes open, fearing they might miss something. Gently, they would fall asleep in her arms.

All those thoughts passed as I noticed the wetness of the pillow against my cheeks. She was home with her little ones. She was more of a “somebody” than I had ever dreamed of being. She was there, and I was in prison.

As the thought passed, I knew there were still choices to make. I could wallow in self-pity, or make a choice that would brighten my day and perhaps the day of others. A part of me longed to continue feeling sorry for myself, but I chose to move past it. With that, I got up and stood in the phone line. Most of the time there wasn’t a line for the pay phone, but today, Christmas day, there was a long one. So I waited.

I waited my turn in order to make a three-minute collect call to my children.  Hearing their voices on the phone, I choked back my emotion and with the most cheer I could muster I said, “Rob – Alex, Merry Christmas boys – this is Dad.”

15 years later my sons are grown men, yet I never forget the loss I felt the Christmas of 1995.  Christmas is not about the gifts, the carols, the outer trappings that merchants wish to lure you in with.  Rather, Christmas is about sharing the deep and abiding love of God that is indwelling in each of us with others.  So where ever you are, what ever you do, make sure to take some time to reflect on who is important in your life and how you can bring love and light to them – even if it’s in the darkest of prisons.


Motivational Speakers Beware! Willow Mist, Brenda Keefer, International Speakers Network and the great speaker Scam

September 29, 2010

I guess there are times when, in the writing of a blog, you hit a nerve.  Yesterday, after much research, I wrote a blog about Willow Mist Professional Services in TN and Brenda Keefer – the company’s owner (at least that’s what I’ve been told).  The response has been overwhelming.  It seems that Miss Brenda has been active and the reports from speakers internationally has been – well – let’s put it this way…there’s screaming and gnashing of teeth over how Motivational Speakers have been scammed.

The article yesterday is here.

Sometimes our past and our experience create the path for a future that is outstanding.  As a business ethics and fraud prevention speaker, I am keenly aware of the choices we make and the consequences that follow.  In the case of Brenda Keefer and Willow Mist Professional Services – there are far too many speakers who are now coming out of the woodwork stating that they, too, have been scammed to ignore the problem.

Every choice has a consequence.  Based on what I see and hear from my experience and the experience of others, it would be worth investigating thoroughly whether the services offered by Brenda Keefer and Willow Mist are valuable or just a way to scam unsuspecting folks out of money.

BEYOND WILLOW MIST –

The brush stroke of fraud and deception seems to be pervasive in Sevierville, TN.  Not only is Willow Mist Professional Services located there, but another “speakers bureau” or “speaker services” company is there too.  Their name:  Internation Speakers Network or ISN Works – a division of The Innovators Group, Inc.

I received an unsolicited email from them with a CALL FOR SPEAKERS.  I was about to trash it or mark it as spam when it caught my eye that they were located in Sevierville, TN.  I thought it strange that two companies that “market” speakers would be located in that small town.  My first thought was that it was Willow Mist or Brenda Keefer repackaged.  However, after calling ISNWorks and talking to their representative, I found that they were quick to point out that they once were the employer of Brenda Keefer, but that she had been let go for “unethical business practices”.  Soon after the Brenda Keefer discussion the conversation returned to what they could offer me as a speaker.

Now…as I wrote the blog about Willow Mist and Brenda, I find that ISN doesn’t have the best reputation either.  Below is a link to the Complaints Board and comments related to ISN:

http://www.complaintsboard.com/complaints/international-speakers-network-c207754.html

The starting comments states:

The International Speakers Network convinces you they can help speakers market their speaking services, and charges a lot of money to develop mailings, sell sheets, and other marketing materials. But they don’t actually perform any of the marketing services speakers pay them for. yes, they will print materials, but they take a lot of money to distribute those materials which are never distributed. They have several names like ISN, Book a Speaker. net, Innovators Group and others. Learn more about them at http://burnedbyisn.blogspot.com/ You’ll see that they have a horrible track record with the Better Business Bureau, too.

While not all of the comments related to ISN were bad – there were certainly enough there to cause one to wonder what’s in the water there in Sevierville that causes two firms, both doing the same thing, to have such poor reputations.  Buyer beware.

If you have had an experience with Willow Mist and/or Brenda Keefer or ISN Works – how about doing us a favor and submitting a comment.

YOUR COMMENTS ARE WELCOME.


Business Ethics Roundup – Week ending January 24, 2010 – Comments by Business Ethics Speaker Chuck Gallagher

January 24, 2010

This is a weekly round up of some of the best business ethics articles, reports and blogs that I’ve seen.  Feel free to click on the links provided, take a look and offer comments here.  The discussion that follows is useful to those who routinely come here for business ethics news and reports.

Business Schools put Ethics high on MBA agendas

This article plays an interesting theme that I am focusing in on as a business ethics speaker and blogger.  What role does the business school take when it comes to business ethics education?  Is business ethics a topic or course description or are ethics larger and part of a comprehensive education that is woven into the fabric of business disciplines taught in both graduate and undergraduate education?  The article is an interesting read.  My question, however, focuses on why just advanced degrees.  It seems to me to assume that business leaders must have advanced degrees in order to become leaders.  I’m not sure I agree with that, but take a look and feel free to offer comments.

Should business ethics be more than a course offered to business students?

Another link to a business ethics university related posting can be seen here.

Caribbean bookings up…

Now one might wonder what tourism bookings information might have to do with a business ethics blog?  Consider Haiti.  Many have criticized cruise ship companies when they continue to offer vacation bookings to Haiti and their neighbor – the Dominican Republic.  Chris MacDonald, a business ethics professor at Saint Mary’s University in Halifax, said travellers to either nation on the island of Hispaniola should not be deterred from their plans — unless logistics make scheduled trips impossible — because these struggling nations need tourism dollars.  Perhaps the luxury and opulence that folks think about when it comes to the cruise industry is, in fact, a positive ethical behavior when it comes to pumping money into the area and providing sustenance for folks who need an economic foundation.

What do you think?

Finders Fee or a Bribe?  A Case Study in Blogger Ethics:

It is incredible what innovations the internet has created.  One is the blog.  It wasn’t that long ago that I didn’t have a clue what a blog was, but less the power it wielded.  Of course, as a business ethics blogger and speaker, I am aware of the simple, yet powerful, use of the pen and open publishing that blogging provides.  This article is cool, in that, it expands the discussion of blogging and ‘financial affiliations’ in the open world of the internet.

Here’s a quote: On Jan. 14, Katherine Rothman, CEO of KMR Communications, sent a mass email to bloggers and other editors who cover beauty, fashion, health and fitness. “I would like to make an offer to you that could be mutually beneficial in the event that this is of interest,” Rothman wrote. Writers, she continued, often find themselves covering “smaller or emerging companies” that lack PR representation. “My offer is this: if you recommend a prospective client to our firm and they sign a contract with us, I would in turn provide you with a generous finder’s fee.”

The discussion is interesting and this is worth a read!

Your comments, of course, are welcome.

CLOSING COMMENTS – Thanks for being a reader of the business ethics blog.  If you run across stories of either business ethics at work (doing well) or business ethics run amuck…feel free to give me a shout.  You can reach me outside of this blog at chuck@chuckgallagher.com


University Ethics Presentations – A Report from the University of Florida on Business Ethics Speaker Chuck Gallagher

January 14, 2010

I must admit, as a speaking professional, I enjoy presentations to University students.  First, they are open to exploring ideas and generally eager to explore what is put before them.  Their questions are wide open and that makes the presentation fun.  But, more important, from my perspective, if a life can be changed early in a young career, then I will have paid it forward.  That inspires me!

I was privileged to speak to business students at the University of Florida and no long there after a young student wrote the following in the Greenback University blog.  His article (printed below) is a reflection of the presentation I made the reaction from the perspective of a student participant.

“I learned a lot of things in prison,” said motivation speaker Chuck Gallagher as he crossed the stage. “I found out what it meant to be Chuck Gallagher.”

Gallagher’s words to UF students rang true as he discussed the turbulence of his life in the past ten years.

Formerly a successful CPA and instructor, Gallagher was sentenced to federal prison for embezzling over $254,000 in a Ponzi scheme that later he reflected was a life-changing experience.

How might he be this week’s success profile? Simple. Gallagher’s story reflects a momentous ability to turn the tables after a horrific downfall.

On October 2, 1995, Gallagher took what he calls his “twenty-three steps” to federal prison, losing his CPA license, his relationship with his wife, and his colleagues’ trust.

“I’d absolutely considered myself an ethical person and an honest person at the time,” Gallagher said. “In the mind of a fraudster, I was always going to be able to pay it back.”

Gallagher’s life before his arrest for embezzlement can be said to be a success, built on the motivation to become educated and rise from the lower class.

“My dad died when I was two. My mother didn’t have a high school education,” Gallagher said, explaining his mother’s persistent pressure on him: “She would always say, ‘you can be somebody. Do not be concerned about your circumstances.’”

He took that lesson to heart, becoming the youngest tax partner in a CPA firm at age twenty-six.

One day while Gallagher was teaching a tax course in Boise, he noticed a note on his door from his partner asking him to call the office. During the break in between lectures, he called back. One of the clients had had an emergency. “I need the money,” his partner said.

Gallagher was quiet on stage, expressing the silent hysteria he felt in that moment almost twenty years ago.

“God and I knew the truth,” he said. “I had stolen the money.”

For months following the revealing of his Ponzi scheme, Gallagher considered suicide. “I picked up the telephone and started calling people.” Gallagher received six answering machines before reaching someone, whose immortal words lived on in Gallagher’s conscience: “You have made a terrible mistake, but you are not a mistake. The choices you make today will define your wife and children.”

Gallagher knew then that suicide would not be an option. “I had to admit to everyone, to my wife and children, that I was a liar and a thief.”

Gallagher stressed how simple it was for him to lose sight of ethics. “Everything I had created was an illusion,” he said. “I didn’t recognize it until it was too late.”

Prison is often said to turn a person’s life perspective around, and Gallagher was no exception. “After five years of a normal life, I was sent to an eight by eight holding cell made of cinder block with a toilet and a bench.”

Gallagher went on to explain his experiences in prison and his interactions and friendships with the other inmates. “I was paid twelve cents an hour. I would get up at 6:00 and clean toilets and urinals,” he explained.

When Gallagher was released after sixteen months, he had to start from the bare beginnings. “I worked for a company before prison. They hired me as a sales associate. I went door to door selling cemetery spots.”

Gallagher claims he was only able to move up because of his ability to outperform everyone else. “When you perform, you will get other people’s attention. When you get out of school, your degree will help you get that first job, but after that, it doesn’t matter. It’s all about performance.”

Gallagher is now the senior sales executive for the company, and lectures across the US not only on business ethics but on sales and marketing as well. He lives by the moral guidelines instilled in him from his experience as a white collar convict. “I learned that every choice has a consequence. If you are 100% truthful, you’ve got nothing to lose, but if you break someone’s trust either in business or in a relationship, that relationship will not survive.”

I appreciate the report, but more importantly I am thankful for the opportunity I have to share with students in both the US and Canada.  It’s funny, but in a presentation at another University a professor asked me, “What theory of ‘ethics’ do you follow?”  I pondered the question for a moment and then replied.  “I follow the theory of ethical choices that keeps you out of prison.”  Somehow that response seemed to stiffle the professor, but was incredibly well received by the students.  I guess when you get down to it, my job is to influence the students!

Here’s the link to the Greenback University blog.

YOUR COMMENTS ARE WELCOME!


Business Ethics Daily Roundup – January 13, 2010

January 13, 2010

As a business ethics speaker and author, as you can imagine, I work daily to keep up with what’s happening.  My wife asked me the other day, “well…how do you share that?”  It dawned on me, I don’t – except in my presentations and more formal writings.  So – from that simple question was birthed the idea of a daily roundup.

Here goes…and I hope it helps.

Aerospace and Defense Industry Commit to New Global Principals of Ethical Conduct – The first International Forum on Business Ethical Conduct for the Aerospace and Defence Industry (IFBEC) took place today in Berlin.  The forum strengthened exchange between industrial, institutional and state players within these key sectors, encouraging them to participate in the development of fair competition rules. It demonstrated the commitment of the aerospace and defence industry to business ethics.  Full story here.

Scrutiny of White Collar Crime Grows – About 25 embezzlers met their downfall last year in Greater Cincinnati and Northern Kentucky, particularly in Butler County, when they were busted in cases totaling $2.2 million – a record-high for the county, officials believe. Full story here.

Should ‘The Office’ Be Used In HR Training? (this is a really cool story)The Office, a comedy about a jumble of oddball workers trying to get along in a claustrophobic environment, is a phenomenon of our times, a period when the American workforce is more diverse than it has ever been.  The question is – should this quirky comedy be used to illustrate sensitive points when doing HR training?  Full story here.

The Foreign Corrupt Practices Act: An Overview – Corruption poses a significant legal and economic risk for corporations doing business around the world, particularly in developing and transitioning countries.  Because of this increased enforcement activity, managers and directors who run multinational corporations are rightfully concerned about their compliance efforts.  Full story here.

More to come tomorrow.  Meanwhile, for more ethics information and discussion – join me on Facebook – link here.


“Honest-Services Fraud” law – taking ethics and fraud deterrence too far?

January 12, 2010

Is it possible that in our quest for improved ethics and fraud deterrence that we’ve created a capture net that is too broad and too easy to be caught in?

Years ago I spent time in federal prison.  I am not proud of that fact, but it’s a fact that I cannot change.  Like Bernie Madoff, I defrauded clients (through the creation of a Ponzi scheme) and, when the card was pulled from the house of cards I created, I found myself facing that dreaded walk into federal prison.  Those 23 steps from the curb into federal prison were the longest 23 steps of my life.

Yet, while I was there…(as you can imagine) I became acquainted with many folks – most of whom had, in fact, done the crime.  They, like I, were paying the price for our crimes by doing the time (so to speak).  From that experience, one thing I learned was the broad sweeping power to convict of the word – CONSPIRACY.

It became clear that the government could use CONSPIRACY laws to capture “would be” criminals or make it easy to win convictions for those who committed crime, but otherwise would walk. Now it would appear that the broad bush word CONSPIRACY has been replaced with an even broader bush (or criminal capture net) called “HONEST SERVICES.”

HERE’S THE CONCEPT – according to an article in Fortune Magazine:

If a judge or governor accepts bribes, for instance, he is not necessarily stealing money from anyone, but he is depriving the public of the “honest services” they have a right to expect from him. Likewise, if a corporate purchasing officer accepts secret kickbacks from vendors, he’s depriving his employer of his “honest services.”

“Look around at all the high-profile cases today,” says Richard Craig Smith, a former federal prosecutor now with the law firm Fulbright & Jaworski. “Ninety-five percent of them are charged under honest-services fraud. That’s not just an accident.”

In fact, recent defendants in such cases compose a white-collar rogues’ gallery for our times, featuring such tarnished luminaries as former governor Rod Blagojevich of Illinois; former U.S. congressman William Jefferson of Louisiana; newspaper magnate and former Hollinger International CEO Conrad Black; lobbyist Jack Abramoff; and former Enron CEO Jeff Skilling.

HERE’S THE RUB – Just about anything that someone might perceive as wrong could be captured with the very wide net of the “Honest-Services” doctrine.  The Fortune article goes on to say:  “The feature that prosecutors love about honest-services fraud is precisely what critics say dooms it constitutionally: its nearly infinite adaptability. “There’s almost no fact pattern that cannot be fit around 1346,” says Smith, referring to the section of Title 18 of the U.S. Code that defines the offense. Read literally, it seems broad enough to catch any deceit at all. If so, then who among us is not guilty?”

If the law is so vague, broad and ill defined that you could commit a crime without knowing that you’ve committed one…then it is possible that the law that prosecutors love could be struck down as unconstitutional.  In fact thee are two cases before the Supreme Court on that very issue.

The law “invites abuse by headline-grabbing prosecutors in pursuit of local officials, state legislators, and corporate CEOs who engage in any manner of unappealing or ethically questionable conduct,” wrote U.S. Supreme Court Justice Antonin Scalia.  “Carried to its logical conclusion,” he continued, it “also renders criminal a state legislator’s decision to vote for a bill because he expects it will curry favor with a small minority essential to his reelection; a mayor’s attempt to use the prestige of his office to obtain a restaurant table without a reservation; [or] a salaried employee’s phoning in sick to go to a ball game.”

“If you defraud someone out of money,” explains Susan Necheles, a white-collar defense lawyer at New York’s Hafetz & Necheles, “there’s clearly a crime, and there are plenty of statutes that cover it. When the government resorts to honest-services fraud, on the other hand, it’s almost always because there’s a real question whether this was a crime or just aggressive business behavior.”

SO HERE’S THE QUESTION:

As an ethics and fraud prevention speaker, I wonder, in the governments efforts to rein in fraud – have they gone too far in their efforts to broadly define “Honest-Services” for purposes of prosecuting and convicting those accused of (shall we say) “ethical” crimes?  The Fortune Magazine article provides an outstanding framework for this law’s background (read here).

In December the Supreme Court signaled, hearing an “Honest Services” case that the law was ambiguous and therefore likely to be struck down.  “A citizen is supposed to be able to understand the criminal law,” Breyer said, yet it was unclear what the law in question branded as a crime.

Early next year, the justices will hear a third case testing the honest-services fraud law, brought by former Enron Chief Executive Jeffrey K. Skilling.  The justices hinted that they would put off ruling on the issue until they had considered Skilling’s case, since his lawyers argued most directly that the entire law should be thrown out as too vague.

QUESTION:  Do you feel that this statute should be struck down for being too vague?  If so, what should replace it?

COMMENTS ARE WELCOME!